HOUSTON, May 31, 2023 /PRNewswire/ -- LyondellBasell (NYSE: LYB) today announced plans to delay its refining business exit from year-end 2023 to no later than the end of the first quarter 2025. Favorable inspections and consistent performance have given the company confidence to continue safe and reliable operations at the Houston site. LyondellBasell anticipates moderate maintenance spend to support this extension in 2023 and 2024 but remains committed to ceasing operation of its oil refining business. The extension will minimize workforce impacts as the company continues to develop future options for the site and will enable a smoother transition between the shutdown and the implementation of the retrofitting and circular projects.
One of the three pillars of the company's new strategy is to build a profitable Circular and Low Carbon Solutions business. In support of this strategy, LyondellBasell is developing future plans for the Houston refining site.
"Our plans to transform the site for future growth beginning in 2025 are aligned with our purpose of creating solutions for everyday sustainable living," said Peter Vanacker, LyondellBasell CEO. "It is exciting to have a suite of future projects in the early stages of development."
Multiple options are being evaluated including recycled and renewable-based feedstocks and green and blue hydrogen. The growth projects under development would connect to existing assets in the Houston area and use existing infrastructure on the refining site including hydrotreaters, pipelines, tanks, utilities, buildings, and laboratories. In the future, LyondellBasell expects the 700-acre refining site will be part of a Houston regional hub for its Circular and Low Carbon Solutions business and support the growth of the LyondellBasell Circulen product portfolio.
We are LyondellBasell – a leader in the global chemical industry creating solutions for everyday sustainable living. Through advanced technology and focused investments, we are enabling a circular and low carbon economy. Across all we do, we aim to unlock value for our customers, investors, and society. As one of the world's largest producers of polymers and a leader in polyolefin technologies, we develop, manufacture and market high-quality and innovative products for applications ranging from sustainable transportation and food safety to clean water and quality healthcare. For more information, please visit www.lyondellbasell.com or follow @LyondellBasell on LinkedIn.
The statements in this release relating to matters that are not historical facts are forward-looking statements. These forward-looking statements are based upon assumptions of management of LyondellBasell which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual results could differ materially based on factors including, but not limited to, the successful shut down and closure of the Houston Refinery, including within the expected timeframe; our ability to meet our sustainability goals, including the ability to operate safely, increase production of recycled and renewable-based polymers to meet our targets and forecasts; the successful construction and operation of the facilities described in this release; and our ability to build a profitable Circular & Low Carbon Solutions business. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the "Risk Factors" section of our Form 10-K for the year ended December 31, 2022, which can be found at www.LyondellBasell.com on the Investor Relations page and on the Securities and Exchange Commission's website at www.sec.gov.